Billionaire Ray Dalio is One of the World’s Richest Hedge Fund Managers. Here are His Best Quotes on Everything from the Markets to Meditation. (Business Insider)
Legendary hedge fund investor Ray Dalio is renowned figure in the world of finance, but is equally famous for his views on life, investing, and much more. The founder of Bridgewater Associates made a whopping $US2 billion last year, the Institutional Investor’s annual Rich List, shows. Dalio recently said the American dream “does not exist” right now and that if leaders don’t act the whole economic system of capitalism could collapse during the coronavirus-induced recession.
Art Industry News: Hedge-Fund Manager Ken Griffin Just Bought a Basquiat From Peter Brant for More Than $100 Million + Other Stories (ArtNet News)
Ken Griffin Buys a $100 Million Basquiat – The art market has always seemed to operate in its own universe, somewhat disconnected from the reality of the rest of the world—and right now is no different. According to the industry newsletter Baer Faxt, hedge-fund manager Ken Griffin purchased a work by Jean-Michel Basquiat privately for more than $100 million. (The news comes as New York’s major spring auctions have been rescheduled and activity at the top of the art market has been quiet.) The seller was reportedly Peter Brant, Griffin’s new neighbor in Palm Beach, who mounted a glitzy display of the artist’s work at his private museum in Manhattan last year. Basquiat’s public auction record is $110.5 million, set at Sotheby’s in 2017.
How a Hedge Fund Firm Sidestepped the First Quarter’s Market Carnage (Institutional Investor)
Many hedge fund firms initially underestimated the threat of the coronavirus. Cinctive Capital was not one of them. Cinctive, founded by Diamondback Capital Management veterans Larry Sapanski and Richard Schimel, launched in September with backing from PAAMCO Launchpad, the joint venture between the Employees Retirement System of Texas and investment firm PAAMCO Prisma to seed and support emerging hedge fund managers. Cinctive, headquartered in New York City’s Hudson Yards, is a long-short equity fund using a multi-manager approach, with numerous investment teams covering roughly half a dozen sectors.
Alex Oakenman / shutterstock.com
Former Marshall Wace and Odey Stock-Picker Launches Value Investing Hedge Fund (Financial News)
A former stock-picker at Marshall Wace and Odey Asset Management has launched a London-based hedge fund, seeking to profit from under-valued listed and private companies in the consumer and tech sectors. According to a source close to the situation, Francesco Fredella has partnered with Angel Capital Management, an Italian private investment firm that specialises in value investing, to launch Pecten Capital, which has rented an office in Mayfair’s Savile Row. Fredella joined Marshall Wace, the London-based hedge fund, from Odey Asset Management. He left in 2018 after a decade as a fundamental analyst stock-picker.
Hedge Fund Bets Made March Market Chaos Much Worse, BOE Says (Bloomberg)
The Bank of England is planning to ask “hard questions” about highly leveraged investors after hedge funds contributed to extreme market volatility during the coronavirus outbreak. Andrew Hauser, the BOE’s executive director of markets, said on Thursday that hedge-fund trading strategies in U.S. government debt morphed into “stress amplifiers” in March, when fund managers raced to meet rising margin calls.
Inside a ‘Big Short’ Bet Against Malls: Investors are Claiming Wins, and a Research Analyst Who Said the Wagers were Misguided is Out (Business Insider)
The senior research analyst who helped defend AllianceBernstein’s $4 billion bet on an index tied to a pool of increasingly-risky mortgage securities is leaving the firm. Brian Phillips, a 14-year veteran at AllianceBernstein, will be taking a job on the West Coast with Pacific Life and said his departure had nothing to do with the index, known as CMBX 6. The index has been the focus of one of the biggest shorts on Wall Street, a $5 billion bet against the mortgage securities by billionaire Carl Icahn. Almost 40% of the securities tied to CMBX 6 are connected to retail properties, including malls, which have been battered by the Covid-19 crisis. MP Securitized Credit Partners told Business Insider it reaped 120% returns on about $50 million of swaps purchased in February in a special equity vehicle that’s separate from its main fund.
Ray Dalio-Inspired Fund in the Nordics (Hedge Nordic)
Stockholm (HedgeNordic) – After starting a long/short equity fund under the umbrella of his family office at the beginning of 2018, Linköping-based fund manager Alexander Hyll (pictured) can now welcome external investors into Adaptive Paradigm Alpha after receiving an AIF license from Finansinspektionen earlier this year. The fund has enjoyed only positive months this year and gained 4.5 percent year-to-date through the end of May. Inspired by Ray Dalio of Bridgewater Associates, Alexander Hyll seeks to position Adaptive Paradigm Alpha’s portfolio to capitalize on global paradigm shifts, which represent specific market dynamics that tend to persist for more extended periods of time. “We believe that the economy works like a machine, in so far that a certain stimulus or contraction has a given foreseeable effect,” explains Hyll. “By taking our understanding of the economy and putting it into numbers, we identify these cause-effect relationships, which we call paradigms, in order to find investment opportunities on which we build a portfolio with stable, reliable returns,” he describes Adaptive Paradigm Alpha’s investment philosophy.
FundRock rises to top of PwC ManCo index (Hedge Week)
FundRock Management Company (FundRock), a European third-party UCITS Management Company (ManCo) and Alternative Investment Fund Manager (AIFM), has been confirmed as the biggest third-party ManCo in Luxembourg in PwC Luxembourg’s latest annual survey. The rankings measure the size of third-party ManCos by assets under management (AUM). FundRock, which oversees almost 400 UCITS and alternative investment funds in Luxembourg with a total AUM of EUR67.9 billion (as of 31 December 2019), rose to the top of the rankings after recording a 57 per cent increase in AUM last year, attributable to organic growth and the acquisition of SEB Fund Services at the end of 2018. The firm had been placed second in last year’s index.
Thursday 6/4 Insider Buying Report: NSCO, HHS (Nasdaq.com)
On Tuesday, Nesco Holdings’ Director, Gerard E. Holthaus, made a $62,610 purchase of NSCO, buying 25,071 shares at a cost of $2.50 a piece. So far Holthaus is in the green, up about 18.1% on their purchase based on today’s trading high of $2.95. Nesco Holdings is trading up about 1.1% on the day Thursday. Before this latest buy, Holthaus made one other buy in the past twelve months, purchasing $62,610 shares for a cost of $2.50 a piece. And on Monday, Chief Executive Officer Andrew B. Benett purchased $36,040 worth of Harte Hanks, purchasing 15,500 shares at a cost of $2.33 each. Before this latest buy, Benett bought HHS at 2 other times during the past twelve months, for a total investment of $132,546 at an average of $2.55 per share. Harte Hanks is trading up about 17.6% on the day Thursday. Benett was up about 35.0% on the buy at the high point of today’s trading session, with HHS trading as high as $3.14 in trading on Thursday.
Godaddy Inc (GDDY) COO Ah Kee Andrew Low Sold $5.8 million of Shares (Guru Focus)
COO of Godaddy Inc., Ah Kee Andrew Low, sold 72,526 shares of GDDY on 06/02/2020 at an average price of $79.99 a share. The total sale was $5.8 million. GoDaddy Inc, through its subsidiaries provides a variety of domain name registration and website hosting services. It also provides cloud-based solutions. GoDaddy Inc has a market cap of $13.57 billion; its shares were traded at around $81.47 with a P/E ratio of 87.61 and P/S ratio of 4.73.
The Divisional Head of Canaccord Genuity (Other OTC: CCORF) is Selling Shares (Analyst Ratings)
Today, the Divisional Head of Canaccord Genuity (CCORF), Jeffrey Griffin Barlow, sold shares of CCORF for $207.6K. In addition to Jeffrey Griffin Barlow, one other CCORF executive reported Sell trades in the last month.
Is Insider Trading Prosecution Unconstitutional? Ex-Apple Attorney’s Counsel Still Says Yes (Law.com)
Opposing attorneys in a criminal case against a former in-house attorney at Apple Inc. accused of insider trading have been arguing whether it is constitutional to charge someone with insider trading. In February 2019, Gene Levoff was charged with securities fraud and wire fraud in the U.S. District Court for the District of New Jersey. Specifically, the U.S. Justice Department claims that Levoff sold stock he owned in the company during blackout periods. The alleged scheme, according to prosecutors, allowed Levoff to make $27,000 on some trades and avoid losses of approximately $377,000 on others because of insider information he obtained while working at the company. Levoff was charged with six counts of wire fraud and six counts of securities fraud.
